[2017-10-26] Bitcoin Price Recovers to $5,780 After Week Long Slump

[Terraformer]

After a week long slump, the bitcoin price has recovered to $5,780. The launch of Bitcoin Gold, which has not met the expectations of traders, likely fueled investors to reallocate their funds back into bitcoin.

As Cryptocoinsnews previously reported, the execution of the Bitcoin Gold hard fork likely led bitcoin investors to initiate a short-term sell off, to distribute their funds across other alternative cryptocurrencies (altcoins) like Ethereum and Litecoin to avoid the Bitcoin Gold hard fork.

Earlier this week, the development team of Bittrex, the third largest cryptocurrency by trading volume behind Bitfinex and Bithumb, revealed that the codebase of Bitcoin Gold is incomplete, untested, and unaudited. Hence, the Bittrex development team stated that exchanges and wallet platforms will not be able to credit users with Bitcoin Gold unless strong replay protection is implemented.

“At this time, the information and codebase presented by the Bitcoin Gold team is not in a functional state and Bittrex will not commit to opening a Bitcoin Gold trading market,” said the Bittrex team.

More importantly, Bittrex emphasized that crediting investors with Bitcoin Gold at this phase of development would endanger existing bitcoins, which could lead to larger problems in the short-term. The Bittrex team explained:

“When considering adding tokens to Bittrex exchange we look at the risks involved. Bitcoin Gold does not satisfy our criteria for safety for our users. Taking a snapshot of the Bittrex exchange Bitcoin wallet is also a large disruptive undertaking that requires over 24 hours of preparation (Bitcoin deposits and withdrawals are also suspended during this time) and should not be taken lightly.”

The majority of investors likely did not want to deal with the Bitcoin Gold hard fork because of these circumstances, surrounding the lack of replay protection and the warnings exchanges such as Bittrex have offered in regards to the security and preparation of the Bitcoin Gold codebase.

Consequently, in the past four days, the price of bitcoin remained below the $5,500 mark, even dipping below the $5,300 region at one point.

Where Does Bitcoin Price Go From Here?

Analysts including prominent bitcoin investor Tuur Demeester stated that a similar trend can be expected prior to the SegWit2x hard fork on November 16. In the mid-term, the SegWIt2x hard fork, if it is pursued as planned, could negatively affect the price of bitcoin, possibly at a larger magnitude than Bitcoin Gold.

But, in terms of volatility, liquidity, regulations and demand from institutional investors, bitcoin is at an optimal position to lead another rally. Already, some of the strictly regulated bitcoin options, futures, and derivatives exchanges like LedgerX have started to record substantially high trading volumes. Billionaire investors including Mike Novogratz have also revealed that a “herd of institutional investors” are entering the cryptocurrency market.

In the upcoming weeks, at least until the hard fork period of SegWit2x, investors could expect a strong rally from bitcoin, once the $6,000 is broken in the short-term.

https://www.cryptocoinsnews.com/bitcoin-price-recovers-5780-week-long-slump/

[error08]

It seems awkward : the execution of the Bitcoin Gold hard fork likely led bitcoin investors to initiate a short-term sell off, to distribute their funds across other alternative cryptocurrencies (altcoins) like Ethereum and Litecoin to avoid the Bitcoin Gold hard fork.
Seems against the way to get more profit. Even though traders distribute bitcoin into altcoins, others have bought those bitcoins and may get free BTG. It can't be avoided obviously. Unless the owners don't want to claim their BTG, but if btg price rise up in the next month, people will scream loudly to be credited btg as well.

[777Bitcoin]

It’s clear now to me that most have initiated a free coin investment last week and sold over after the fork. But after a day a rally of increases as I expected it to be now it is nearing again at 6000$ as of this posting. That’s something been a patterned as of the bitcoin cash fork last August. This is a telling reason why forking is nothing but a free money for the bitcoin community. This is what bitcoin has become and I’m excited more of its future.

[Pamadar]

It’s clear now to me that most have initiated a free coin investment last week and sold over after the fork. But after a day a rally of increases as I expected it to be now it is nearing again at 6000$ as of this posting. That’s something been a patterned as of the bitcoin cash fork last August. This is a telling reason why forking is nothing but a free money for the bitcoin community. This is what bitcoin has become and I’m excited more of its future.

if this rally continue then we will see the same thing which happen last aug after the split and some correction the price rally up so high and now we are seeing
the same thing and i'm really happy that i'm still holding my coins and didn't bother to sell it out when the price is falling down.

[buwaytress]

I actually wasn't thinking of it in terms of a slump. If anything, the latest fork should have pushed it back down below $5,000. That it didn't goes to show how I keep underestimating Bitcoin's resilience past a recent ATH.

This perplexes me, although hardly surprises me as well: "information and codebase presented by the Bitcoin Gold team is not in a functional state". If Bittrex, of all people, can come up and say that, it really begs the question of how capable these programmers and developers really are. ASIC-resistant, anti-cartel ideology aside, I think people really need to think long and hard before forking out for a perceived immediate solution to whatever problem they believe Bitcoin has.

[777Bitcoin]

It’s clear now to me that most have initiated a free coin investment last week and sold over after the fork. But after a day a rally of increases as I expected it to be now it is nearing again at 6000$ as of this posting. That’s something been a patterned as of the bitcoin cash fork last August. This is a telling reason why forking is nothing but a free money for the bitcoin community. This is what bitcoin has become and I’m excited more of its future.

if this rally continue then we will see the same thing which happen last aug after the split and some correction the price rally up so high and now we are seeing
the same thing and i'm really happy that i'm still holding my coins and didn't bother to sell it out when the price is falling down.

That’s good, your hands holds well than others who have weak hands and panic for a small decrease that is even not intentionally done. I know that whales are watching the investors moves but I think they thought they can rally a decrease and started but failed because of too much good news/rumors around.

Microsoft CEO support on bitcoin and amazon possible adaptation. What a great year it’s been.

[FomoATH]

It’s clear now to me that most have initiated a free coin investment last week and sold over after the fork. But after a day a rally of increases as I expected it to be now it is nearing again at 6000$ as of this posting. That’s something been a patterned as of the bitcoin cash fork last August. This is a telling reason why forking is nothing but a free money for the bitcoin community. This is what bitcoin has become and I’m excited more of its future.

if this rally continue then we will see the same thing which happen last aug after the split and some correction the price rally up so high and now we are seeing
the same thing and i'm really happy that i'm still holding my coins and didn't bother to sell it out when the price is falling down.

I, too, do not succumb to general panic. I have long understood that bitcoin is a very reliable coin. And I see that around me there are more and more bitcoins of enthusiasts. And the fact that the price is recovering quickly suggests that bikoyin has strong support.